1. For a bank to accept credit risk, it must expect to be paid either interest at a sufficiently large premium above the risk-free rate or an actuarially fair fee. Considering this fact, how will you determine credit risk premium.
2. Financial comparison of AAR Corporation and General Dynamics which company looks better?
3. A long term bond issued by a corporation represents
a. accounts payable
b. equity
c. retained earnings
d. preferred stock
e. debt